Rideshare insurance for drivers

18 September 2023

Thinking of joining the growing community of rideshare drivers across Australia? Or perhaps you're already part of this dynamic industry? Either way, it's essential to understand what rideshare insurance covers to help protect your vehicle and your source of income.

What is ridesharing?

Ridesharing is using a peer-to-peer system of hiring a private car and driver for a fee. What this means is that anyone who has a ride sharing app, is able to book a service to drive them wherever they like (within reason), or is easily able to rent a car for themselves through peer-to-peer carsharing services instead of traditional car renting. These services are becoming increasingly popular, with providers like Uber Carshare offering car hire in Brisbane, Sydney, other major cities and regional locations.

What does my rideshare company cover?

Each rideshare service may offer various levels of cover, so it’s worth checking with your specific provider before you start ridesharing. However, this coverage may often be limited and only apply when you turn on the rideshare app.

In most cases, rideshare companies don’t provide cover for damages to your own car — so if your car is involved in an accident, it could significantly affect your income.

Additionally, before you start ridesharing most rideshare companies require drivers to have:

What insurance do I need for ridesharing?

Compulsory Third Party Insurance

Compulsory Third Party (CTP) Insurance covers you if you cause personal injury to someone else when driving your car. It’s the minimum legal requirement for cars registered in all states and territories in Australia.

Get a CTP Car Insurance quote

Third Party Car Insurance

Third Party Car Insurance covers you if you cause damage to another vehicle or someone's property. This type of insurance doesn’t cover any repairs to your vehicle — so it may not suit rideshare drivers who depend on their cars for income.

However, with Suncorp Third Party Car Insurance, we’ll cover the damage to your car caused by a collision with an uninsured driver up to $5,000 if you:

  • didn't contribute to the incident, and
  • can provide us with the name and address of the person at fault and the rego of the at fault vehicle.

Get a Third Party Car Insurance quote

Comprehensive Car Insurance

Comprehensive Car Insurance covers accidental damage or loss to your car, as well as to other cars and property damaged by your car, no matter who is at fault. This type of insurance could be beneficial for rideshare drivers as you’re covered 24/7 — whether you're ridesharing or using your vehicle for personal use.

Suncorp Comprehensive Car Insurance also includes extra benefits to help rideshare drivers get back on the road faster:

  • A hire car after not-at-fault incidents.
  • A hire car after theft for up to 21 days.
  • Lifetime guarantee on quality of materials and workmanship of repairs that we authorise.
  • No additional rideshare excess if you need to make a claim for an accident that occurred while using your car for ridesharing.

Get a Comprehensive Car Insurance quote

How do I add rideshare insurance to my policy?

If you're a new customer, select the 'Ridesharing' option on a new quote when asked about your car usage.

For existing Suncorp Insurance customers, simply log in to your My Suncorp account and update your ‘vehicle use’ option to ‘Ridesharing’. Please note that ridesharing may affect the amount you pay for your insurance cover.

Update my policy

Other rideshare insurance tips

Can I claim my car insurance as a business expense?

Generally, you may be able to claim a tax deduction on your car insurance premium as a business expense. However, you'll only be able to claim for the percentage of time the vehicle is used for ridesharing and not for personal use. Seek the advice of an accountant or tax agent for claiming deductions specific to your circumstances.

Are my passengers covered?

Cover for passengers will depend on the terms and conditions of your CTP insurance policy — so contact your provider to confirm. However, most CTP insurance policies will cover bodily injury to passengers in your vehicle while you're on the road.

What do I do if I have an accident during a fare?

If you're involved in an accident during a fare, follow these steps:

  1. Check that everyone involved is safe and call 000 in case of an emergency.
  2. Take reasonable action to limit any further incidents and damage — such as pulling over to the side of the road if safe to do so.
  3. Take photos of any damage and get names and contact details from any witnesses.
  4. Lodge a claim online or via the Suncorp Insurance App.

Read more:

Insurance issued by AAI Limited ABN 48 005 297 807 trading as Suncorp Insurance. Product Disclosure Statement before buying this insurance. The Target Market Determination is also available.

This advice has been prepared without taking into account your particular objectives, financial situations or needs, so you should consider whether it is appropriate for you before acting on it. The information is intended to be of a general nature only. We do not accept any legal responsibility for any loss incurred as a result of reliance upon it – please make your own enquiries.